EUR/USD Falls to One-Year Low Amid ECB Hike and Growth Concerns

The EUR/USD fell below 1.1400 on June 23, 2026, and extended losses towards 1.1350 on June 24, reaching a one-year low. This movement occurred despite the ECB's June rate hike, as markets interpreted the tightening policy as a sign of potential overtightening into a weaker growth and inflation mix for the eurozone. The divergence in monetary policy expectations, with the Fed maintaining its target range and lifting its 2026 median rate projection, contributed to the dollar's strength.